EPLI is a critical coverage for any business that has employees, but it is particularly important for those businesses with employees that work with the public or even on-site at other businesses. Even though business owners strive to be fair and non-discriminatory, you never know when miscommunication or circumstances will lead to a lawsuit. Often, the Defense Costs portion of the policy is the most valuable.

You might be asking, “Aren’t EPLI related claims something isolated to large corporations?” We’re all familiar with the headline cases, but 41% of all EPLI suits are brought against small employers with 15 to 100 employees, and those don’t often make the news.

EPLI related charges have been on the rise for years. In 2007, the Equal Employment Opportunity Commission (EEOC) recorded nearly 83,000 charges. In 2010, that number rose to nearly 100,000 with an average award of $182,500. Over half of all suits came in the Service, Retail, Manufacturing and Wholesale segments.